UNIVERSITY OF TEXAS AT AUSTIN ACC 358C / ACC 380K.4, Introduction to Assurance Services Course Syllabus Spring 2015 Time and Location: TT 9:30-11:00, UTC 1.144 (unique 02325 for ACC 358C or 02445 for ACC 380K.4) TT 11:00-12:30, UTC 1.144 (unique 02330 for ACC 358C or 02450 for ACC 380K.4) TT 2:00-3:30, UTC 1.146 (unique 02335 for ACC 358C or 02455 for ACC 380K.4) Note: I expect you to attend the section in which you are enrolled. However, if special circumstances prevent you from attending your section on a particular day, you may attend a different section if you notify me beforehand. Please do not abuse this privilege. Instructor Steven Kachelmeier, Ph.D., CPA (licensed in New Mexico) Randal B. McDonald Chair in Accounting Office: CBA 4M.236; Ph.: 471-3517; E-mail: kach@mail.utexas.edu (or use Address Book) Office hours: Tuesdays and Thursdays 3:30-5:00, or as announced, and by appointment. Teaching Assistants Ben Van Landuyt, Ph.D. student Location and office hours: To be determined Email: Ben.VanLanduyt@phd.mccombs.utexas.edu Justin Hoffman, fifth-year integrated MPA student Location and office hours: To be determined Email: Justin.Hoffman@bba10.mccombs.utexas.edu Note: The TAs will grade cases, so please utilize their office hours for questions of this nature. The TAs can also assist you with homework. Of course, you are also welcome to see me or use the online discussion board (see below). Online Resources In addition to posting announcements and documents on Canvas, I will use the discussion board feature in Canvas (http://canvas.utexas.edu) to provide you with virtual office hours at any time. So that you do not miss anything important, please get in the habit of checking the course Canvas site before every class. The discussion board benefits you and me. You can use it to post questions, comments, and responses to others posts. I can use it to offer clarifications to the entire class, not just the person who asked the question. Accordingly, if you have a question of general interest, please use the discussion board, not email. That way everyone can benefit.
ACC 358C / 380K.4 SYLLABUS (KACHELMEIER) 2 Required Course Materials: Course files. I will make available the Powerpoint files and other materials that we will use in class discussion. My Powerpoint slides often have blank areas for your notes from class, making it very important for you to attend each class session. Auditing: A Risk-Based Approach to Conducting a Quality Audit, 9 th ed., by Johnstone, Gramling, and Rittenberg (Southwestern / Cengage Learning, 2014). Note: The text is bundled with a CD-Rom containing the educational version of ACL audit software, 9 th edition. You will need this software for a required course assignment later in the semester. Course Objectives At the end of the semester, you should have a better and deeper understanding of the following: 1. The role of auditing in a market economy. 2. U.S. and international regulation of auditing. 3. Auditor independence and ethical responsibilities. 4. Dealing with the potential for fraud. 5. Internal controls and the integrated audit. 6. Audit reporting and changes on the horizon. 7. Risk assessment. 8. Basics of audit sampling. 9. Basic framework for auditing a company s revenue and purchasing cycles. 10. Using computerized audit software. 11. Evaluating and correcting errors. 12. Entity-wide audit considerations (e.g., going concern, subsequent events, related parties). 13. Fundamental issues arising in recent accounting and auditing scandals. 14. Services CPAs provide beyond the financial statement audit.
ACC 358C / 380K.4 SYLLABUS (KACHELMEIER) 3 We will achieve the course objectives through a mixture of class discussions, case assignments, homework (including use of computer audit software), and an end-of-semester group project. My teaching philosophies: This course is not just another requirement to graduate. Rather, given that the vast majority of you will enter careers that involve auditing (either as auditors or as users of auditing), the primary objective of this course is to help you to succeed after graduation. I am not wedded to any single teaching method. Rather, I prefer to select among a variety of teaching methods and materials, as appropriate for different class objectives. I prefer an informal atmosphere. I would rather be interrupted than for you to be confused. I prefer trust over suspicion, but especially in an auditing course, we cannot tolerate breaches of integrity. If you help us maintain an atmosphere of trust and absolute integrity, we will have more fun and get more out of the course. People tend not to be late to things that are important to them. It is your responsibility to arrive on time. I appreciate feedback. Tell me what you like and what you do not like. I would rather teach you than evaluate you. Evaluation is a necessary part of the academic process, but it is not the primary reason we are here. Grades are a byproduct of learning, not the objective of learning. But because you want to know, my grading policies are described on the next page.
ACC 358C / 380K.4 SYLLABUS (KACHELMEIER) 4 Grading Course grades will be based on a 500-point scale, as follows: Points Possible In-class examination 1, Tuesday, February 24, 2015 100 In-class examination 2, Thursday, April 2, 2015 100 Final examination during finals week 125 Cases (see listing for point allocation) 85 End-of-semester group presentation 70 In-class end-of-semester presentation summaries 20 Nominal points possible 500 Extra credit for participation and effort Up to 35 Total possible points including extra credit 535 In awarding final grades, I start by considering the traditional 90%=A, 80%=B, 70%=C cutoffs based on the 500 nominal points listed above. I sometimes award grades that are more generous than these cutoffs, depending on the end-of-semester point distribution, to reflect the following interpretations: A or A- = Exceptional performance, exceeding my expectations. An A in this course is a sign of distinguishing oneself with particularly strong performance. B+ or B = Fine performance, meeting my expectations. The ability to distinguish outstanding from very good performance is undermined if everyone gets an A, so I anticipate that a B will be the grade most frequently assigned. B-, C+, or C = Performance that falls short of expectations. These grades should be infrequent, but that being said, there is no such thing as an automatic B in the MPA program. If you do not put in the effort necessary to attain a reasonable degree of proficiency in attaining the course objectives, I cannot award you a B. C-, D, or F = Performance that falls far short of expectations, usually reflecting lack of sufficient effort. The Department of Accounting Policy Statement on Scholastic Dishonesty also specifies a course grade of F as the default penalty in cases of scholastic dishonesty.
ACC 358C / 380K.4 SYLLABUS (KACHELMEIER) 5 Plus/Minus Grading I award +/- grades in an approximately GPA neutral manner. What this means is that I award plus or minus grades for borderline cases at each grade cutoff (primarily the A/B cutoff), but I strive to do so in a way that does not significantly alter the grade-point average for the class as a whole. Thus, the number of students who get an A- instead of an A will be approximately equal to the number of students who get a B+ instead of a B. Plus-minus grading simply allows a finer distinction between different levels of performance. Examinations (two midterms worth 100 points each; final exam worth 125 points) Examinations will emphasize issues and concepts discussed in class, although material from the textbook (particularly as it relates to the assigned homework) and other assigned readings is also fair game. Exams will involve a mixture of objective and written-answer formats. The two midterm examinations emphasize the material covered since the previous examination. The final examination is cumulative, emphasizing material covered after the second midterm along with reinforcing key concepts from earlier in the semester, as reflected on the midterm exams. Cases and Research Exercises (85 points) To refine written communication skills as well as judgment skills in dealing with a more realistic and less structured variety of auditing problems than can be found in a textbook, we will cover a few case exercises based on current policy issues and real-world applications. The last case is intended to give you basic familiarity with ACL computer audit software, a prominent example of audit technology. All cases except the ACL case will be graded for depth of analysis, originality, quality of writing, and professional impression. These cases involve subjective issues for which multiple views can be defended. As in an accounting career, it is important to be both complete and concise. The ACL case (Case 5) will be graded for completeness, accuracy, and professional documentation. I value the interchange of ideas. Thus, in the formative stage of a case assignment, you are welcome to discuss an assigned case on the course discussion board that is available on Canvas. That being said, I also value individual accountability. Copying from another student s prepared solution is scholastic dishonesty, and will be dealt with accordingly. See the Policy on Scholastic Dishonesty later in this syllabus for clarification. The assigned cases and their due dates are listed on the next page.
ACC 358C / 380K.4 SYLLABUS (KACHELMEIER) 6 Cases and Research Exercises, continued Case Source Topic Due Date 1. Evaluating the Quality of Audit Quality Indicators (15 points) Assignment written by S. Kachelmeier, 2015 Measuring Audit Quality Tue., Feb. 3 2. Roxden Band Boosters (15 points) S. Kachelmeier, 2007 Internal controls Tue., Feb. 17 3. Developing a Taste for Research (15 points) Assignment based on an article by J. Franzel, American Accounting Association, 2014 Developing a research idea Thu., Mar. 5 4. Koss Corporation (15 points) Adapted from a case by B. Daughterty and D.G. Neeley, American Accounting Association, 2011 Control environment, risk assessment, and substantive testing Thu., Mar. 26 5. Practicing with ACL (25 points) Text + ACL v. 9 (educational version) Using computer audit software to analyze client records Thu., April 16 Discussing cases is an important part of the course, so be prepared to discuss and defend your case responses in class. You are also welcome to discuss and clarify case issues by posting to the discussion board on Canvas. Undergraduate Writing Center If you experience difficulty with written assignments, consider scheduling a free, individualized appointment with a writing consultant at the UT-Austin Undergraduate Writing Center (UWC). The UWC is one of the best student resources available, employing consultants who will work with you to improve your written assignments in ways that preserve the integrity of your work. For further details, see http://uwc.utexas.edu.
ACC 358C / 380K.4 SYLLABUS (KACHELMEIER) 7 Group Presentation Pick a Scandal (70 points) The capstone project at the end of the semester will involve groups of four students. Each group will investigate a major accounting / auditing scandal (generally from 2000 to date) to identify (1) the underlying financial reporting issue(s), (2) why the audit failed to uncover the problem and what the auditors should have done differently, and (3) the consequences to management and to the auditors. Groups will present the results from these investigations in 20-minute presentations at the end of the semester (see course schedule later in this syllabus). Group member assignments and presentation dates and times will be determined randomly. Each group must also submit the Powerpoint or similar file used to facilitate their presentation, along with a list of references. Later in the semester, I will provide further details on this assignment and a list of suggested scandals. In-Class Presentation Summaries (20 points) To provide an incentive to attend class and learn from the group presentations at the end of the semester, I will distribute a concise form during class to elicit your feedback on each presentation. I will collect these forms and give you credit for them, allocating the points among the presentation dates to account for a maximum of 20 points possible. Students who arrive late will lose some of the points available for that date s summaries. Alternative assignment for excused absences: If you are forced to miss one of the presentation dates due to an excused medical or family emergency, religious holiday, or university conflict, I will arrange an alternate assignment for you to obtain the points that you missed that day. This option is available only for excused, documented absences due to a medical emergency, family emergency, religious holiday, or university-sponsored conflict. The firms that will be recruiting you for internships have agreed that recruiting activity is not an acceptable reason to miss class. Even if allowed, the alternative assignment will generally involve substantially more work than simply attending class and completing the in-class presentation summary sheet. Therefore, it is in your best interest to obtain the presentation summary points in class if at all possible.
ACC 358C / 380K.4 SYLLABUS (KACHELMEIER) 8 Extra Credit for Participation and Effort (up to 35 additional points) We all prefer an active classroom environment over constant lecturing. To give you an incentive to participate, I reserve the right to award extra credit points at the end of the semester based on my subjective (but honest) assessment of your cumulative participation in this class. Up to 10 extra credit points will be awarded for your professionalism and attentiveness, as evidenced in part by consistent, on-time attendance. I will take role on occasion (unannounced) to monitor this element. Up to 13 extra credit points will be awarded for in-class participation. I do not expect students to participate constantly, nor do I reward students by the word. Nevertheless, students can earn a few extra credit points over the course of the semester by asking insightful questions, answering questions that I ask in class, offering different perspectives, participating in case discussions, and showing interest in others comments. Up to 12 extra credit points will be awarded for students who make productive use of the online discussion board, as evidenced by posts and especially by constructive replies to other students posts. I do not merely count the number of posts. Rather, I try to evaluate the quality of posts in adding to the class experience. In awarding extra credit points at the end of the semester, I am generous in awarding some points, but increasingly stringent in awarding more points. Thus, the extremes such as 0 extra credit points or 35 extra credit points are very rare. A typical student will earn about 15-20 extra credit points. Discussion board Along with the other tools available on our course Canvas site, I encourage you to take advantage of the online discussion board for this course. Posts can relate to class discussions, case issues, exam-related questions, or any other topics/issues that are relevant to students in this course, including recruiting and career issues. I monitor the discussion board on a regular basis, and I take this activity into account when considering possible extra credit points for class participation (see above). Some of you will participate more effectively in class, and others will participate more effectively on the discussion board. Both kinds of participation are helpful. You can think of the discussion board as continuous office hours. Thanks to this technology, you can ask a question or volunteer an insight at any time you wish.
ACC 358C / 380K.4 SYLLABUS (KACHELMEIER) 9 Ground rules for discussion board: 1. For questions or comments of general interest to the class, please use the discussion board, not email! 2. Be professional and courteous. Discussion boards of this type are used extensively in business and in public accounting firms. You do not need to be overly formal, but forums such as this offer a good opportunity to practice professional business communication. 3. Any topics of interest to students taking this course are welcome. 4. Do not be a free rider! If you benefit from reading other s posts, consider adding your own insights. Also be brave and reply to inquiries from your fellow students. I will correct and clarify any misinformation in a tactful manner, without embarrassing you. 5. Even if you have nothing to post, get in the habit of accessing the discussion board before each class session. I will use Canvas to communicate important announcements and clarifications. Homework Each chapter in the text is followed by several true-false, multiple choice, and other homework problems that you can complete for practice. The last page of this syllabus lists the assigned homework problems for each chapter. Homework will not be collected. Hence, homework does not directly count as part of your course grade. However, completing the homework will indirectly benefit you, as I take the assigned homework into account when writing examinations. Thus, students who put diligent effort into the homework will be rewarded with higher exam scores. Homework solutions will be available so that you can check your work. Policy on Notifications via Email and via Canvas I will frequently post important announcements on our course Canvas site, so it is critical for you to monitor this resource before every class. In addition, when necessary, I will contact you by email, consistent with the UT-Austin policy on email as an authorized vehicle for official University communication. I may use your McCombs School of Business email address as available within the School s Address Book, or I may use the email address registered on our course Canvas site, so if these accounts are different, please monitor both addresses. For more information on the UT-Austin email policy, please see: http://www.utexas.edu/sites/default/files/university%20electronic%20mail%20student%20noti fication%20policy%20-%20use%20of%20email%20for%20official%20correspondence%20to%20students.pdf.
ACC 358C / 380K.4 SYLLABUS (KACHELMEIER) 10 Student Safety and the Behavior Concerns Advice Line (BCAL) Nothing is more important than student safety. If you have concerns or are worried about someone who is acting differently, you may use the UT-Austin Behavior Concerns Advice Line to discuss your concerns. This service is provided through a partnership among the Office of the Dean of Students, the Counseling and Mental Health Center, the Employee Assistance Program, and The University of Texas Police Department (UTPD). Call 512-232-5050 or visit http://www.utexas.edu/safety/bcal. Of course, you are also welcome to discuss any concerns with me, and I will take action as appropriate on a case-by-case basis. Policy on Missed Examinations and Assignments As a general policy, medical emergencies, family emergencies, religious holidays, and university-sponsored conflicts are the only valid reasons for missing an examination or the due date of an assignment. In all such instances, I require some form of supporting documentation, such as a signed note from a physician. At that point I will determine the best make-up alternative on a case-by-case basis, which could mean a make-up exam or recalculating the semester grade to omit the missed component, depending on circumstances. Examinations or assignments that are missed for reasons other than those indicated in this paragraph will generally not be accepted. In the case of a conflict due to a university-sponsored event, you must notify me as soon as you are aware of the conflict and before the examination date or assignment due date. Religious Holy Days In compliance with the UT-Austin policy on Observation of Religious Holy Days (available at http://www.utexas.edu/provost/policies/religious_holidays/1555_001.pdf), I will work with students on a case-by-case basis in the event that a religious holiday conflicts with a scheduled assignment, examination, or due date. All I ask is that students notify me of any such conflicts well in advance, as specified in the policy. Policy on Students with Disabilities The University of Texas at Austin strives to accommodate students with disabilities. For more information, contact the Office of the Dean of Students at 471-6259, 471-4641 TTY or go to http://www.utexas.edu/diversity/ddce/ssd. If you have registered a disability with the UT Services for Students with Disabilities (SSD) Office, please see me to discuss any appropriate accommodations you need for this course. If you need an accommodation for a course examination, I ask that you consult with me and provide me with the supporting documentation from the SSD Office at least three weeks before the scheduled date of the examination.
ACC 358C / 380K.4 SYLLABUS (KACHELMEIER) 11 Policy on Scholastic Dishonesty and Working Together on Course Assignments Policy of the MPA Program The Master in Professional Accounting Program has adopted a Code of Conduct, a Career Services Code of Ethics, and a Policy Statement on Scholastic Dishonesty. It is important for you to be familiar with all three documents, which are available on the web at the following url: https://www.mccombs.utexas.edu/mpa/student-codes-of-ethics The following statement applies to each class in the UT-Austin Department of Accounting: The Department of Accounting has no tolerance for acts of scholastic dishonesty. The responsibilities of both students and faculty with regard to scholastic dishonesty are described in detail in the department s Policy Statement on Scholastic Dishonesty in the MPA Program (which includes the integrated five-year MPA program and the traditional MPA program). By teaching this course, I have agreed to observe all faculty responsibilities described in that document. By enrolling in this class, you have agreed to observe all student responsibilities described in that document. If the application of that Policy Statement to this class and its assignments is unclear in any way, it is your responsibility to ask me for clarification. In simple terms, integrity is a public good from which we all benefit. I view the above statement as a commitment to integrity, not as a threat against students. It is my intent to conduct this course in an environment of trust and cooperation. I can only achieve this goal if you join me in maintaining an atmosphere of absolute ethical integrity in this course and in our MPA program. We cannot afford to tolerate any less. Personal Policy on Working Together (applies only to this course) I believe that learning takes place through a healthy exchange of ideas. Therefore, for this class, you are welcome to discuss issues related to assigned cases and homework problems with other students. However, I expect the final product of each assignment to reflect your individual effort (with the exception of the capstone project that is assigned in groups of four). You may not copy or paraphrase from others solutions. Examples intended to clarify this policy follow: Examples of collaborative efforts that I welcome (applies only to this course): A student is confused about an ambiguous aspect of a case or homework problem, and asks another student what s/he thinks. Students ask questions and share insights in the class discussion board. (This is appropriate because everyone benefits.)
ACC 358C / 380K.4 SYLLABUS (KACHELMEIER) 12 Examples of collaborative efforts that I do not tolerate: These examples draw from situations I have encountered. In each case I pursued a Scholastic Dishonesty charge with the Dean of Students, and imposed an appropriate penalty. Student X completes a case before student Y (or in an earlier semester). Y asks X for X s solution. Y bases his/her solution on X s solution, changing a few words here and there to make it look original. An instance of this nature would not be a healthy exchange of ideas. Rather, this is an example of plagiarism, which takes advantage of student X and does not evidence any meaningful learning on the part of student Y. Both X and Y are guilty of scholastic dishonesty. Please note that I make subtle changes in cases used across semesters in order to deter and detect unauthorized copying from former students. A student finds a source relevant to a case and copies from it, without using quotation marks, indentation, or other references to acknowledge the source. This is another example of plagiarism, which is a clear instance of scholastic dishonesty. A student completes an ACL problem on the computer, and emails or otherwise gives the solution file to another student. This constitutes blatant copying and is a serious form of scholastic dishonesty. Any collaboration or breach of security on a course examination is scholastic dishonesty of the most severe variety. Cheating on an examination can result in a significant academic penalty, including the possibility of an F for the course. When in doubt, ask me. If you have read this far, thank you! The fact that you have read 12 pages of syllabus material shows that you care about this class and want to succeed. History suggests that only about half of all students read the entire syllabus, so I want to give you a small token of my appreciation for being in that half. Accordingly, I have set up an online page that will award you one extra credit point just for typing in your name, if you do so by Friday, January 23, 2015. Thanks! To get your point, go to: https://mccombs.qualtrics.com/se/?sid=sv_3ire7dtqt4odsrz. The remainder of this syllabus contains the course schedule and assigned homework problems.
ACC 358C / 380K.4 SYLLABUS (KACHELMEIER) 13 Course Schedule Assigned chapters are from Auditing: A Risk-Based Approach to Conducting a Quality Audit, 9 th ed., by Johnstone, Gramling, and Rittenberg (Southwestern / Cengage Learning, 2014). Various other readings and course files will supplement the text. IMPORTANT: Please complete each day s assigned reading before class. The readings provide necessary background for understanding classroom discussion. Date Topic Reading Assignment Jan. 20 Tue. Introduction and overview 22 Thu. The role of auditing in a market economy Ch. 1 27 Tue. The precursors to and consequences of the Sarbanes Oxley Act of 2002 Ch. 2 Ch. 5, pp. 158-161 29 Thu. Regulation of auditing and the PCAOB CAQ guide Gonzalez article Feb. 3 Tue. Auditing in a regulatory flux CASE 1 (Evaluating the Quality of Audit Quality Indicators) DUE TODAY Franzel letter Lindberg & Seifert article 5 Thu. Auditor independence and ethics Ch. 4, pp. 125-139 10 Tue. Begin internal controls Ch. 3 12 Thu. The integrated audit Ch. 5, pp. 171-189 Ch. 16, pp. 756-759 17 Tue. Testing internal controls CASE 2 (Roxden) DUE TODAY 19 Thu. Internal controls: Evidence and developments 24 Tue. EXAM 1 (in class) PCAOB report on ICFR inspections 26 Thu. Audit reporting Ch. 15 Deloitte CAM report Mar. 3 Tue. Materiality Ch. 7, pp. 266-271 Ch. 16, pp. 729-734 5 Thu. Audit planning and risk assessment CASE 3 (Developing a Taste for Research) DUE TODAY Ch. 5, pp. 161-170 Ch. 7, pp. 271-292
ACC 358C / 380K.4 SYLLABUS (KACHELMEIER) 14 Date Topic Mar. 10 Tue. Risk assessment: Regulatory and strategic considerations Reading Assignment Weil article 12 Thu. Begin audit sampling Ch. 8, pp. 316-339 Mar. 16 20 SPRING BREAK WEEK Enjoy! 24 Tue. Finish audit sampling / begin audit evidence Ch. 6 26 Thu. Overview of substantive audit evidence CASE 4 (Koss Corporation) DUE TODAY Ch. 14, pp. 627-628 31 Tue. Catch up / Introduce the cycle approach to auditing Apr. 2 Thu. EXAM 2 (in class) 7 Tue. The revenue cycle Ch. 9 9 Thu. Finish, revenue cycle, begin purchasing cycle, and review ACL, time permitting 14 Tue. Finish purchasing cycle 16 Thu. Correcting errors and evaluating materiality CASE 5 (ACL) DUE TODAY Ch. 11, all Ch. 8, pp. 347-351 Ch. 14, pp. 622-625 Ch. 16, pp. 734-737 21 Tue. Going-concern issues and other special topics Ch. 14, pp. 625-656 23 Thu. Services beyond the financial statement audit Ch. 17 28 Tue. Group presentations 30 Thu. Group presentations May 5 Tue. Group presentations 14 15 18 7 Thu. Group presentations Thu. Fri. Mon. Final exam 2-5 p.m. for the TT 2:00 section Final exam 2-5 p.m. for the TT 11:00 section Final exam 2-5 p.m. for the TT 9:30 section* *I will do my best to accommodate students in the 9:30 section who are able to take the final with one of the other sections so that they can finish earlier.
ACC 358C / 380K.4 SYLLABUS (KACHELMEIER) 15 Homework Homework will not be collected. However, completing and reviewing the solutions for the homework problems listed below will reinforce key concepts and improve examination performance. Examination questions will often draw from this material. The topics and chapters listed below are in the order that we will cover them. The contemporary auditing environment and audit standard setting Ch. 1: All true/false (T/F) and multiple choice, 1-33, 1-37, 1-38. Ch. 2: All T/F and multiple choice, 2-25, 2-36, 2-38, 2-44, 2-48, 2-49, 2-53. Ch. 5: 5-1, 5-2, 5-3, 5-4, 5-27, 5-28, 5-29, 5-30, 5-53, 5-56. Auditor independence and ethics Ch. 4: 4-6, 4-7, 4-11, 4-12, 4-20, 4-24, 4-48, 4-58, 4-59, 4-60, 4-63, 4-64. Internal controls and the integrated audit Ch. 3: All T/F and multiple choice, 3-37, 3-49, 3-51, 3-53, 3-64, 3-66, 3-70. Ch. 5: 5-20, 5-24, 5-26, 5-43, 5-44, 5-45, 5-46, 5-48, 5-50, 5-51, 5-79, 5-88, 5-92, 5-94. Ch. 16: 16-15, 16-16, 16-33, 16-34, 16-74. Audit reporting Ch. 15: All T/F and multiple choice, 15-37, 15-41, 15-42, 15-46, 15-57, 15-59*, 15-60, 15-62. *For 15-59, ignore the requirement to specify whether the explanation should precede or follow the opinion. Just specify the appropriate type of report for each item. Audit risk and materiality Ch. 5: 5-9, 5-11, 5-42, 5-66. Ch. 7: All T/F and multiple choice, 7-32, 7-33, 7-36, 7-38, 7-39, 7-48, 7-53, 7-54, 7-56. Ch. 16: 16-3, 16-21, 16-22. Audit sampling Ch. 8: 8-3, 8-4, 8-6, 8-7, 8-8, 8-10, 8-15, 8-16, 8-20, 8-22, 8-39, 8-40, 8-41, 8-43, 8-46, 8-50. Audit evidence and transaction cycles Ch. 6: All T/F and multiple choice, 6-41, 6-44, 6-45, 6-46, 6-48, 6-50, 6-52, 6-63, 6-67. Ch. 9: All T/F and multiple choice, 9-33, 9-34, 9-44, 9-61, 9-62, 9-64. Ch. 11: All T/F and multiple choice, 11-35, 11-36, 11-54, 11-55, 11-69, 11-70, 11-71. Correcting errors, going-concern issues, and other special topics Ch. 14: All T/F and multiple choice, 14-64, 14-68, 14-71, 14-80, 14-87, 14-90, 14-95, 14-103. Ch. 16: 16-5, 16-6, 16-23, 16-45, 16-46, 16-47, 16-50, 16-51. Services beyond the financial statement audit Ch. 17: All T/F and multiple choice, 17-34, 17-44, 17-46, 17-54, 17-57, 17-60, 17-61, 17-63.